Just - Evotec Biologics Expands Tech Partnership for Biosimilars with Sandoz
Just - Evotec Biologics, a segment of Evotec, has expanded its strategic partnership with Sandoz, focusing on the development and commercial manufacturing of biosimilars. This agreement, announced on July 8, 2024, ensures long-term commercial supply security for Sandoz from Evotec's newly built J.POD® manufacturing facility in Toulouse, France. The extended partnership promises remuneration for early scientific validation and additional funding upon reaching development milestones from 2025. Since May 2023, the collaboration has leveraged Just - Evotec Biologics' data-driven design and continuous manufacturing technology to enhance product quality and cost efficiency. Dr. Matthias Evers, Evotec's Chief Business Officer, highlighted the potential to improve patient access to medicines and validate the strategic establishment of their second J.POD® facility.
- Expanded partnership with Sandoz ensures long-term commercial supply security for biosimilars.
- Newly built J.POD® facility in Toulouse supports commercial manufacturing.
- Potential to improve patient access to medicines globally.
- Remuneration linked to early scientific validation and development milestones from 2025.
- Leverages data-driven design and continuous manufacturing technology for high-quality, cost-efficient products.
- Additional funding and remuneration are contingent on achieving future development milestones, creating financial uncertainty.
Insights
Expanding strategic partnerships is a significant move for any company and in this case, Just - Evotec Biologics' partnership with Sandoz offers promising prospects. The biosimilars market is one that is steadily growing, driven by the need for more cost-effective treatment options. Aligning with Sandoz, a well-established player in the industry, adds substantial weight to Just - Evotec Biologics' market position.
This partnership is likely to enhance Just - Evotec’s long-term revenue stream. The commitment from Sandoz not only brings immediate remuneration but also secures future funding upon the achievement of development milestones. This kind of structured financial arrangement demonstrates a well-thought-out strategy ensuring sustained growth and stability.
Biosimilars are often used to treat a variety of diseases, including chronic conditions such as diabetes and cancer. The continuous demand for these treatments, combined with the cost benefits over traditional biologics, makes this market lucrative. Additionally, the integrated design capability and continuous manufacturing technology (J.DESIGN) could enhance product quality and cost efficiency, further strengthening their market competitive edge.
For retail investors, this means the potential for long-term value creation. The strategic move not only opens up revenue channels but also positions Just - Evotec Biologics as a pivotal player in the biosimilars manufacturing landscape. The expanded manufacturing facility in Toulouse is another critical asset, ensuring the supply chain's robustness and reliability.
The expansion of Just - Evotec Biologics' partnership with Sandoz is noteworthy from a financial perspective. The structured agreement includes remuneration following early scientific validation and additional funding tied to development milestones starting in 2025. This indicates a well-orchestrated financial framework designed to ensure liquidity and fund R&D activities effectively.
Just - Evotec Biologics' new J.POD® manufacturing facility in Toulouse is pivotal. The reservation of significant commercial manufacturing capacity by Sandoz suggests high confidence in the ability of this facility to meet substantial demand. This could translate into
Moreover, this partnership could lead to economies of scale, reducing production costs per unit through the continuous manufacturing technology platform (J.DESIGN). It’s important to note that with biosimilars, the competitive edge often rests on the ability to produce at lower costs without compromising quality. If Just - Evotec Biologics can indeed deliver on this front, it could result in substantial margins over time.
From an investor's point of view, the financial stability derived from guaranteed long-term commercial supply contracts is highly attractive. It provides a predictable revenue stream, which is particularly beneficial in the often-volatile biotech sector. Ensuring a steady cash flow will likely bolster investor confidence and potentially lead to stock appreciation.
From a medical research perspective, the development of biosimilars is important for improving patient access to essential medications. Biosimilars are essentially 'generic' versions of biologics, which are complex drugs made from living organisms used in the treatment of severe and chronic conditions.
Just - Evotec Biologics' expanded partnership with Sandoz underscores a commitment to increasing the availability of biosimilars. This can significantly impact healthcare by offering more treatment options at potentially lower costs. The continuous manufacturing technology and integrated design capabilities (J.DESIGN) mentioned can play a pivotal role in ensuring these biosimilars are produced efficiently and meet high-quality standards.
For patients, especially those with chronic conditions requiring long-term medication, the development of biosimilars means better accessibility and affordability. This can lead to improved adherence to treatment regimens, ultimately leading to better health outcomes.
Retail investors should recognize the broader impact of this partnership not just in financial terms but also in its potential to address critical healthcare needs. The long-term supply guarantees offered by the new manufacturing facility further underscore the scalability and reliability of this venture, which is important for maintaining trust within the medical community.
Just - Evotec Biologics expands partnership with Sandoz for development and commercial manufacturing of biosimilars
Additional biosimilars potentially to be added to Sandoz development pipeline
Further guarantees for Sandoz long-term commercial supply security
HAMBURG, GERMANY and SEATTLE, WA / ACCESSWIRE / July 8, 2024 / Evotec SE (Frankfurt Stock Exchange:EVT)(NASDAQ:EVO) (MDAX/TecDAX , ISIN: DE0005664809) today announced that its biologics segment, Just - Evotec Biologics, Inc., has expanded its strategic partnership with Sandoz. Just - Evotec Biologics will receive appropriate remuneration following early scientific validation, with further funding tied to achieving development milestones from 2025.
This expanded partnership solidifies Just - Evotec Biologics' commitment to providing long-term commercial supply of biosimilars to Sandoz from its newly built J.POD® biologics manufacturing facility at Evotec's Campus Curie in Toulouse, France. Sandoz secures further guarantees relating to long-term supply for patients with a reservation of significant commercial manufacturing capacity.
Since May 2023, Just - Evotec Biologics and Sandoz have been engaged in a multi-year technology partnership aimed at the rapid development and manufacturing of biosimilars. Leveraging its data-driven, fully integrated design capability and continuous manufacturing technology platform (J.DESIGN), Just - Evotec Biologics aims to deliver the highest product quality and cost efficiency to its partners. This collaboration aligns with Evotec's mission to improve access to medicines for patients across the globe.
Dr Matthias Evers, Chief Business Officer of Evotec, commented: "We are thrilled to expand our partnership with Sandoz, building on the successes we've achieved since the initial launch. Introducing additional molecules has the potential to enhance access for millions of patients, while commercial manufacturing from Toulouse will ensure the long-term supply of Sandoz' biosimilar portfolio. This commercial supply aspect also validates our strategy to establish our second J.POD® in Toulouse."
About Sandoz
Sandoz (SDZ; SDZNY) is the global leader in generic and biosimilar medicines, with a growth strategy driven by its Purpose: pioneering access for patients. 20,000 people of more than 100 nationalities work together to ensure 800 million patient treatments are provided annually by Sandoz, generating substantial global healthcare savings and an even larger total social impact. Its leading portfolio of 1,500 products addresses diseases from the common cold to cancer. Headquartered in Basel, Switzerland, Sandoz traces its heritage back to the year 1886. Its history of breakthroughs includes Calcium Sandoz in 1929, the world's first oral penicillin in 1951, and the first biosimilar in 2006. In 2023, Sandoz achieved sales of USD 9.6 billion.
About Just - Evotec Biologics
Just - Evotec Biologics, wholly owned by Evotec SE, is a first-to-industry biologics platform company that leverages AI/ML technologies and world-leading molecular design, cell line development, process intensification and continuous manufacturing strategies to advance biotherapeutics from discovery through clinical stages to commercial launch. The Just - Evotec Biologics team combines deep industry experience in the fields of data, protein, process, and manufacturing sciences including automation with highly integrated and flexible capabilities to break through the scientific and economic barriers associated with the development of protein therapeutics. Our focus is to accelerate and expand access to biotherapeutics through scientific and technological innovation for our proprietary projects and on behalf of our partners. Learn more at www.just-evotecbiologics.com.
About Evotec SE
Evotec is a life science company with a unique business model that delivers on its mission to discover and develop highly effective therapeutics and make them available to the patients. The Company's multimodality platform comprises a unique combination of innovative technologies, data and science for the discovery, development, and production of first-in-class and best-in-class pharmaceutical products. Evotec provides high value pipeline co-creating partnerships and solutions to all Top 20 Pharma and over 800 biotechnology companies, academic institutions, as well as other healthcare stakeholders. Evotec has strategic activities in a broad range of currently underserved therapeutic areas, including e.g. neurology, oncology, as well as metabolic and infectious diseases. Within these areas of expertise, Evotec aims to create the world-leading co-owned pipeline for innovative therapeutics and has to-date established a portfolio of more than 200 proprietary and co-owned R&D projects from early discovery to clinical development. Evotec operates globally with more than 5,000 highly qualified people. The Company's sites in Europe and the USA offer highly synergistic technologies and services and operate as complementary clusters of excellence. For additional information please go to www.evotec.com and follow us on X/Twitter @Evotec and LinkedIn.
Forward-looking statements
This announcement contains forward-looking statements concerning future events, including the proposed offering and listing of Evotec's securities. Words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "might," "plan," "potential," "should," "target," "would" and variations of such words and similar expressions are intended to identify forward-looking statements. Such statements include comments regarding Evotec's expectations for revenues, Group EBITDA and unpartnered R&D expenses. These forward-looking statements are based on the information available to, and the expectations and assumptions deemed reasonable by Evotec at the time these statements were made. No assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates, which are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of Evotec. Evotec expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Evotec's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
For further information, please contact:
Media
Gabriele Hansen
SVP Head of Global Corporate Communications
Gabriele.Hansen@evotec.com
Hinnerk Rohwedder
Director of Global Corporate Communications
Hinnerk.Rohwedder@evotec.com
Investor Relations
Volker Braun
EVP Head of Global Investor Relations & ESG
Volker.Braun@evotec.com
SOURCE: Evotec SE
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